Used as a key intermediate in the synthesis of pharmaceuticals, particularly in the development of anti-inflammatory and analgesic agents. Its structure allows for easy functionalization, making it valuable in constructing complex organic molecules. Commonly employed in cyclization reactions to form benzofuran and coumarin derivatives, which are important in medicinal chemistry. Also utilized in the preparation of agrochemicals and bioactive heterocyclic compounds due to its reactivity with nucleophiles and ability to participate in condensation reactions.